Abstract: The known isospin-breaking contributions to the K -> pi pi amplitudes are reanalyzed, taking into account our current understanding of the quark masses and the relevant non-perturbative inputs. We present a complete numerical reappraisal of the direct CP-violating ratio is an element of(')/is an element of, where these corrections play a quite significant role. We obtain the Standard Model prediction Re (is an element of(')/is an element of) = (14 +/- 5) <bold> </bold>10(-4), which is in very good agreement with the measured ratio. The uncertainty, which has been estimated conservatively, is dominated by our current ignorance about 1/N-C-suppressed contributions to some relevant chiral-perturbation-theory low-energy constants.

Abstract: In 1988 the NA31 experiment presented the first evidence of direct CP violation in the K-0 -> pi pi decay amplitudes. A clear signal with a 7.2 sigma statistical significance was later established with the full data samples from the NA31, E731, NA48 and KTeV experiments, confirming that CP violation is associated with a Delta S = 1 quark transition, as predicted by the Standard Model. However, the theoretical prediction for the measured ratio epsilon'/epsilon has been a subject of strong controversy along the years. Although the underlying physics was already clarified in 2001, the recent release of improved lattice data has revived again the theoretical debate. We review the current status, discussing in detail the different ingredients that enter into the calculation of this observable and the reasons why seemingly contradictory predictions were obtained in the past by several groups. An update of the Standard Model prediction is presented and the prospects for future improvements are analysed. Taking into account all known short-distance and long-distance contributions, one obtains Re (epsilon' / epsilon) = (15 +/- 7) . 10(-4), in good agreement with the experimental measurement.